When you run a small business, there are times you may find yourself dealing with a cash shortage. It’s never any fun to deal with low cash flow, and assessing your financial situation will be key in helping you know what steps to take to get back on the right track with funding. 

Whether you’re seeking long-term or short-term funding, there are options available to you when it comes to getting cash flowing back into your business doors. Here are a few tips to guide you in the right direction.

Loans

If you’re hurting for funds and worried about how your business will survive without additional funding, seek out unsecured business loans. Take note of how much funding your business needs and add extra while you gain your footing, and rethink your cash flow.

Of course, you don’t need to only seek funding when you’re in a cash crisis. Unsecured business loans are great options for companies that want to expand too. If you’re looking to grow your business, you can find the funding you need quickly with a loan.

Incentives

Customers respond to great deals. If your company offers a credit card, help customers want to pay their balance early by offering rewards and discounts. People enjoy finding a deal, and they will spread the word if you’re offering one. Do you have a new product or service that customers can try if they pay their invoice at a certain time? Is there a great discount on a certain item that customers can find themselves excited over? 

Encourage customers to pay on time or early by making it worth their time and fun.

Assess

When dealing with unexpected financial frustrations, it may be time to cut expenses until you’re able to grow and invest. Many small businesses will have to do a wage freeze, stop matching retirement funds, and limit overtime during lean months. Although taking those actions is never a route any company wants to take, it can weather a small business through tough times until things improve. The key to making this work is still showing value to your employees and treating them well. Incentivize with an extra day off or flexible schedule. Keep track of who works hard and reward them when business improves.

A cash shortage is never fun to experience, but nearly every business deals with it at some point in time. Remember to assess your financial situation and look at business loans available to you, reward clients for early and on-time payments, and assess your business spending.